Tax Credits for Buying Electric and Alternative Motor Vehicles
Important: Starting with Tax Year 2018 (Jan.-Dec. 2018), tax credits for electric and alternative motor vehicles are changing due to Tax Reform. Though the Alternative Motor Vehicle Credit and the Qualified Plug-In Electric Drive Motor Vehicle Credit are available for 2018 Tax Returns, they can only be claimed if the vehicles are purchased in 2017, but were not put into service until 2018. We will update this page as the IRS finalizes and releases the 2018 information. Tax Reform and you? Let efile.com help you and become eligible to Tax Win. Find out now.
These tax credits are available for 2017 Tax Returns:
What is the Alternative Motor Vehicle Tax Credit?
The Alternative Motor Vehicle Tax Credit is a credit that only applies to new cars. It is for placing a qualified fuel cell vehicle in service and may only be claimed by the original purchaser of the vehicle. A qualified fuel cell motor vehicle is a vehicle that is propelled by power from one or more cells which convert chemical energy directly into electricity.
Below is a list of certified fuel cell motor vehicles that qualify for the credit:
- Mercedes-Benz 2012 F-Cell
- Honda 2012 FCX Clarity Fuel Cell Vehicle
- Honda 2011 FCX Clarity Fuel Cell Vehicle
- Honda 2010 FCX Clarity Fuel Cell Vehicle
- Honda 2009 FCX Clarity Fuel Cell Vehicle
- Honda 2008 FCX Clarity Fuel Cell Vehicle
How Do I Claim the Alternative Motor Vehicle Tax Credit?
To claim the credit, complete Form 8910 and attach it to Form 1040. On efile.com, you can prepare and efile Form 8910 along with Form 1040. Once you answer a few simple questions about your tax situation, we will generate the forms for you and help you complete them accurately.
What is the Qualified Plug-In Electric Drive Motor Vehicle Tax Credit?
The Qualified Plug-In Electric Drive Motor Vehicle Credit is a credit for placing a new qualified plug-in electric drive motor vehicle in service. This is a vehicle that is run to a significant extent by an electric motor and draws electricity from a battery and is capable of being recharged from an external source of electricity.
What Cars Qualify for the Qualified Plug-in Electric Drive Motor Vehicle Tax Credit?
All of the following plug-in hybrids and electric cars qualify for the Credit for Qualified Plug-In Electric Drive Motor Vehicles and have different credit amounts depending on the year of the vehicle:
- AMP GCE and MLE Electric Vehicle
- Audi A3 e-tron
- Azure Dynamics Transit Connect Electric Vehicle
- BMW i3 Sedan, BMW i3 Sedan with Ranger Extender, BMW i8, BMW X5 40e, BMW 330e, BMW i3 (60Ah) Sedan, BMW 740e
- Boulder Electric Delivery Van DV-500, Electric Shuttle DV500, Electric Flat Bed DV-500, Electric Service Body DV-500
- BYD Motors e6 Electric Vehicle
- Chrysler Fiat 500e
- CODA Sedan (Electric Vehicle manufactured by CODA Automotive Inc.)
- Electric Vehicles International (EVI)-MD (Medium Duty) Electric truck, and EVI-WI (Walk-In) Electric truck
- EMC Model E36 7 Passenger Wagon, Model E36t Pick-Up truck, and Model E36v Utility Van
- Fisker Automative Karma Sedan
- Ford Focus Electric, Ford C-MAX Energi, Ford Fusion Energi
- GMC Chevrolet Volt, Chevrolet Bolt, Chevrolet Spark EV, Cadillac ELR
- Hyundai Sonata Plug-in Hybrid Electric, Ioniq Battery Vehicle
- Kia Soul Electric
- Mercedes-Benz smart Coupe/Cabrio EV, B-Class EV (B250e), S550e PHEV, GLE550e 4m PHEV, C350e PHEV
- Mitsubishi i-MiEV (Electric Vehicle)
- Nissan Leaf
- Porsche 918 Spyder, Panamera S E Hybrid, Caynee S E-Hybrid
- Smart Fortwo Electric Drive Vehicle
- Tesla Roadster, Tesla Model S Vehicle
- Think City EV (Electric Vehicle)
- Toyota Prius Plug-in Electric Drive Vehicle, Prius Prime Plug-in Hybrid, RAV4 EV
- VIA Motors 2500 Extended Range Electric Passenger Van, VIA 1500 Extended Range Electric Truck 4WD (all body styles), VIA Extended Range Electric Cargo Van, VIA1500 Extended Range Electric Truck 2WD (All body styles)
- Volkswagon e-Golf
- Volvo XC-90 T8 Twin Engine Plug in Hybrid
- Wheego LiFe Electric Vehicle
- Zenith Electric Van
More green tax savings: find out how to get a tax credit for energy-efficient improvements to your home.
How Do I Claim the Credit for Qualified Plug-in Electric Drive Motor Vehicles?
To claim the credit, complete Form 8936 and attach it to Form 1040. If you bought a qualifying vehicle in the past 3 years and you did not claim it on your tax return, you can still get the credit by filing an amended return.
See what other tax credits and tax deductions for which you may qualify to claim on your tax return.